1. Identity symbols: celebrity effect and social currency attributes
- Red Carpet Economics
LV has customized celebrity handbags (such as Petite Malle hard luggage) for international events such as Oscars and Cannes, embeds products into top-level traffic scenarios.At the 2023 Cannes Film Festival, 42% of celebrities have
lv outlet accessories in red carpet styles, and the brand provides celebrities with exclusive styles that are not sold publicly, creating a scarcity premium.
- Street Shooting Marketing Chain
The brand has placed exclusive gift bags worth $3.8 million to top European and American artists (such as Zendaya and Timothée Chalamet) every year, and the airport street shots captured by paparazzi have become mobile billboards.After Rihanna's handbags were held, the secondary market price soared by 217%.
2. Pricing structure: Accurate layered consumer psychology
- Introduction to anchoring strategy
Neverfull tote bag (16,500 yuan on China's official website) serves as a price anchor, accounting for 35% of the brand's sales but only contributes 18% of the revenue.Its real function is to lower the experience threshold and cultivate potential customers.
- High-quality premium system
The custom crocodile leather bag (starting at 450,000 yuan) is produced using a reservation system, with an average annual output of less than 200 pieces.In 2022, Dubai customer customized diamond-inlaid Twist handbags were sold for RMB 6.8 million, and such transactions increased the contribution rate of brand VIP customers to 62%.
3. Trendy manufacturing: price game theory of joint models
- Artist joint premium
The pumpkin pattern series jointly created with Yayoi Kusama is 82% higher than the basic model, but the resale market will be priced at a 300% premium on the first release date.The brand creates a snap-up effect by controlling the sales volume (800 pieces worldwide limited to the world).
- Celebrity Designer Effect
Virgil Abloh's Multi-Pochette ($22,500) triggered a rush to buy Gen Z, with a premium of 18 months in the secondary market.The brand cleverly used the designer's death to make the series auction price exceed $180,000.
Data logic behind the price system:
- The average annual price increase of classic models is 7.2% (more than 3 times the inflation rate)
- The average profit margin for limited-edition resale is 145%
- The repurchase cycle of customers in China has been shortened from 14 months in 2018 to 8 months in 2023
Current trends show that LV is reconstructing the luxury pricing dimension through NFT digital collections (such as the Via Treasure Trunk project priced at 39,000 euros), and connecting virtual goods to the physical pricing system.This strategy not only maintains the exclusivity of traditional luxury goods, but also establishes a new price discourse power in the field of the metaverse, continuously leading the paradigm transfer of celebrity consumer culture.
